Japan’s Marubeni joins AsheMorgan to deliver major Docklands build-to-rent precinct

The owner of The District Docklands, AsheMorgan, has partnered with Japan’s Marubeni Corporation – alongside Haseko Corporation and Mizuho Leasing – to deliver one of Australia’s largest build-to-rent (BTR) projects on a long-vacant Footscray Rd site.

Branded “District Living,” the $600 million precinct will rise next to The District and Docklands Primary School, ultimately delivering more than 900 apartments across two towers. Stage One comprises 626 apartments, with construction due to start next month after the appointment of Kapitol as builder.

AsheMorgan says the tie-up with Marubeni – one of Japan’s largest trading and investment houses – marks the company’s first foray into Australia’s BTR market. “Partnering with Marubeni, Haseko, and Mizuho Leasing on District Living is an exciting step for AsheMorgan and is reflective of the group’s confidence in the project,” AsheMorgan principal Mendy Moss said.

Marubeni’s general manager for overseas real estate, Noritake Miyaguchi, said the company saw “enormous potential in build-to-rent as a housing solution in Australia,” adding it looked forward to working with AsheMorgan to bring the project to life.

The latest milestone follows the City of Melbourne’s endorsement of revised plans in April 2024, when councillors backed the development subject to height reductions to protect sunlight to Docklands Primary School. The proposal has since cleared state planning, paving the way for delivery.

When complete, District Living will provide a mix of studio, one-, two- and three-bedroom apartments, including a unique offering of Soho-style dual-level residences aimed at families. Stage One alone features more than 2200 sqm of resident amenity – a wellness centre with gym, plunge pool, sauna and steam room – plus a sky terrace and more than 1400 sqm of private outdoor space with dog-friendly areas and landscaped green pockets. The plan also includes ground-floor retail and 1700 sqm of new public open space.

The fully electric project targets a 7.5-star NatHERS sustainability rating. Kapitol says delivery will leverage advanced digital design coordination, 4D sequencing and prefabrication to lift precision and efficiency.

Located beside AsheMorgan’s established mixed-use precinct at The District, the BTR community is planned to benefit from existing retail and entertainment and a future pedestrian link to North Melbourne Station.

The Docklands scheme comes amid record-low rental vacancy and a widening gap between population growth and new housing supply – dynamics AsheMorgan argues strengthen the case for large-scale rental communities.

“District Living will deliver much-needed apartment stock to the market and serve the city for decades to come,” Kapitol director Andrew Deveson said.

Council previously described the project as a “landmark” for Docklands, highlighting the creation of green open space and new public realm.

With approvals secured and a builder appointed, attention now shifts to breaking ground on Stage One and realising one of Melbourne’s largest purpose-built rental neighbourhoods.

As reported by Docklands News last year, the Victorian School Building Authority (VSBA) has been exploring opportunities for the future use of the site at the south-eastern corner of Little Docklands Drive and Footscray Rd opposite Docklands Primary School (DPS).

Development Victoria, which currently owns the land at 24 Little Docklands Drive, has nominated the corner site known as “Building 4” opposite DPS for “civic use” as part of the approved development plan for the precinct. The VSBA is understood to be continuing its investigations into the area. •